The Vermont Statutes Online
The Vermont Statutes Online have been updated to include the actions of the 2023 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
Title 32 : Taxation and Finance
Chapter 205 : Cigarettes and Tobacco Products
Subchapter 004 : Tobacco Products Tax
(Cite as: 32 V.S.A. § 7811)-
§ 7811. Imposition of tobacco products tax
(a) There is hereby imposed and shall be paid a tax on all other tobacco products, snuff, and new smokeless tobacco possessed in the State of Vermont by any person for sale on and after July 1, 1959 that were imported into the State or manufactured in the State after that date, except that no tax shall be imposed on tobacco products sold under such circumstances that this State is without power to impose such tax, or sold to the United States, or sold to or by a voluntary unincorporated organization of the U.S. Armed Forces operating a place for the sale of goods pursuant to regulations promulgated by the appropriate executive agency of the United States. The tax is intended to be imposed only once upon the wholesale sale of any other tobacco product and shall be at the rate of 92 percent of the wholesale price for all tobacco products except snuff, which shall be taxed at $2.57 per ounce or fractional part thereof; new smokeless tobacco, which shall be taxed at the greater of $2.57 per ounce or, if packaged for sale to a consumer in a package that contains less than 1.2 ounces of the new smokeless tobacco, at the rate of $3.08 per package; and cigars with a wholesale price greater than $2.17, which shall be taxed at the rate of $2.00 per cigar if the wholesale price of the cigar is greater than $2.17 and less than $10.00 and at the rate of $4.00 per cigar if the wholesale price of the cigar is $10.00 or more. Provided, however, that upon payment of the tax within 10 days, the distributor or dealer may deduct from the tax two percent of the tax due. It shall be presumed that all other tobacco products, snuff, and new smokeless tobacco within the State are subject to tax until the contrary is established and the burden of proof that any other tobacco products, snuff, and new smokeless tobacco are not taxable hereunder shall be upon the person in possession thereof. Licensed wholesalers of other tobacco products, snuff, and new smokeless tobacco shall state on the invoice whether the price includes the Vermont tobacco products tax.
(b) The tax established in this section shall not be imposed on:
(1) cannabis-related supplies sold by a dispensary registered under 7 V.S.A. chapter 37 to registered patients and registered caregivers, as those terms are defined in 7 V.S.A. § 972;
(2) cannabis products, as defined in 7 V.S.A. § 831, that do not contain tobacco; or
(3) hemp or hemp products, as defined in 6 V.S.A. § 562, that do not contain tobacco. (Added 1959, No. 231, § 7; amended 1995, No. 14, § 7, eff. April 12, 1995; 2005, No. 191 (Adj. Sess.), § 38; 2007, No. 81, § 6, eff. June 11, 2007; 2009, No. 1 (Sp. Sess.), § H.38; 2009, No. 160 (Adj. Sess.), § 36; 2011, No. 45, § 22; 2013, No. 14, § 19, eff. June 30, 2013; 2013, No. 174 (Adj. Sess.), § 39; 2015, No. 54, § 50; 2019, No. 28, § 2; 2023, No. 3, § 91, eff. July 1, 2023.)
